Long and Short in Bitcoin

Long and Short in Bitcoin

Unlike expecting to increase the value of making a profit and earning money in Bitcoin investments without buying Bitcoin and intervening, there are also ways that are not known by investors. In the financial market, there are positions called long and short, which are very preferred. So what are these positions, mostly known as margin trade, and how does it work?

WHAT IS MARGIN TRADE?

Margin Trade, which means Different Trade under the name of Turkish, means the trade made by the majority by borrowing. So, what are the long and short concepts used in Margin Trade transactions? As a result, the term “buy” and “short” can be sold. The borrowing factor is called borrowing coefficients, and the different aspects of buying and selling are not borrowed.

LONG POSITION

It is a buying event by predicting that the value of the investment will increase in investment. For example, you can use the opportunity to appreciate the opportunity to increase by converting your Turkish Lira into Dollars by predicting that the dollar rate will increase. With the long position transaction, the amount you have reaches more amount after the dollar goes up and after making another sale transaction.

SHORT POSITION

Long is the transaction of selling by predicting that the value of the investment will decrease in the opposite of the position. For example, by converting the dollar you own to the Turkish Lira with the prediction that the dollar will experience a decrease, you will have spent this decrease in the opportunity.